The Government has brought forward the target date
by three years from 2022 to 2019 to achieve complete rural connectivity through
all-weather roads under Pradhan Mantri Gram Sadak Yojana, PMGSY. Union Minister
for Rural Development Shri Birender Singh said that this accelerated
implementation will be achieved by providing enhanced financial allocation and
through a modified funding pattern in the Scheme. He said, the government has also
decided to increase the annual allocation during year 2015-16 by Rs. 5,000
crore and with this the total Central allocation to States would be Rs. 15,100
crore, while it was Rs 9,960 crore during 2014-15. It may be noted that the
Central release to the States for PMGSY works was Rs.5, 196 crore in 2013-14
and Rs. 4,313 crore in 2012-13.

PMGSY was launched in year 2000 as a Centrally Sponsored Scheme with the
objective to provide single all-weather road connectivity to all eligible
unconnected rural habitations. Under PMGSY-I, 1,78,184 unconnected habitations
were identified. However, in 15 years of implementation so far, 1,12,550
habitations (63%) have been connected with PMGSY roads. The States are yet to
complete the roads to provide connectivity to about 37% of habitations as per
the mandate of the Scheme.

Shri Singh said that higher allocation of funds will ensure that Scheme targets
are achieved by March, 2019 much before the stipulated time of 2022. He said,
this decision of the government will give a big boost for public investment in
the rural sector particularly rural infrastructure.

Shri Birender Singh said that his Ministry is also considering to financially
incentivise the States who achieve the targets allocated to them, within the
prescribed time frame. This incentive could be used for periodic maintenance
expenditure by the States. He said, the Ministry of Rural Development is
working in collaboration with the States for preparing a time bound action plan
to cover the outstanding liabilities for sanctioned works so as to meet the
liabilities of all sanctioned works within 2016-17. The Minister said, the
enhanced level of Central allocation to States for 2015-16 as well as the
proposed allocation of the same amount for 2016-17 would help in providing
connectivity to 29,000 eligible habitations in these two years which would be
much higher than 13,424 habitations connected during 2012-13 and 2013-14.

The Minister also informed that consequent to higher devolution of funds to the
States as per the recommendations of 14th Finance Commission, the Sub-Group of
Chief Ministers on Rationalization of Centrally Sponsored Schemes was
constituted and it has submitted its Report wherein it has recommended that
fund sharing pattern of PMGSY will be in the ratio of 60:40 between the Centre
and States for all States except for 8 North Eastern and 3 Himalayan States for
which it will be 90:10. He said, the Sub-Group has also recommended that this
modified sharing pattern should be effective from Financial Year 2015-16
onwards. The above recommendation of the Sub-Group on modified sharing pattern
has been accepted and all ongoing as well as outstanding works would be covered
under this sharing pattern.